100 Steps To Developing Your Franchise

100 steps to develop your franchise
Twenty week

all Inclusive program to develop your Business to Franchising

Please be aware that the functions below are complex and will require the professional help of third parties. It is not advisable to develop the entire program in house.

Your Plan: (week one)

1. Study this action plan
2. Send memo to all your staff announcing your plans to franchise the business.
3. Arrange for individual & group meetings to explain about your plans
4. Use inter-office signs to promote franchising inside your company
5. Identify your franchise support team from within your organization
6. Develop your franchise manager job description
7. Appoint your franchise manager
8. Plan your company organizational structure upon completion of the franchise system

Your financial study: (week two & three)

9. Identify the business mode(s) of your concept
10. Calculate the level of investment required to establish each of them
11. Determine your initial support element to each of franchisees including training, marketing, launch support, information technology, chain supply, transfer of systems, designs, layouts, software and others.
12. Calculate the cost of the above support elements and add you profit margin
13. Decide on your franchise fee for a franchised unit
14. Determine the on-going support elements including on-going training, research & development, periodical meetings, periodical visits, mystery shopper program and motivational programs
15. Calculate the cost of the above support elements and add you profit margin
16. Decide on your royalty
17. Check if any other fees or levies which can be added to your set of franchise fees
18. Plan your proprietary/ branded products
19. Identify the cost of the line of products which you are going to source directly to franchisees and add your profit margin to it.
20. Develop the franchised unit "three – year" profit & loss statement.
21. Develop you own profit & loss statement as the franchisor
22. Develop your financials analysis into a business plan

Your Franchise Proposal: (week four & five)

23. Develop the outline for your franchise proposal
24. Develop your power point presentation on your franchise opportunity
25. Develop your franchise application
26. Plan an e-mailable brochure & presentation
27. Include your franchise information on your website
28. Develop a cover letter to go with the franchise prospectus
29. Develop the franchise prospectus and its inserts

The Rights: (week six – week eight)

30. Develop your chart of corporate image and work to have plans to strengthen its elements
31. Study and develop your location décor packages
32. Develop sample charts for all material used in the fitting out the location
33. Produce your corporate identity manual
34. Identify the elements of Intellectual Property Rights in your business.
35. Plan your Intellectual Property Rights reiteration over a period of time and commence implementing your plan immediately

Legal: (week six – week eight)

Please note that in addition to the legal documents below there may be more documents to developed with the help of professional e.g., "Uniformed Franchise Offering Circular" in the Unites States of America

36. Identify the franchise owner company which will operate your franchise business
37. Develop employee contract
38. Develop the letter of intent with potential franchisees
39. Develop the franchise contract
40. Develop necessary appendixes which will go with the agreement such as product list, supply agreement, IPR guide and standard rent agreement

Systems: (week six – week sixteen)

41. Identify the bulk of the system development and allocate time bonded tasks (below) to your franchise support team
42. Develop your operating manual page design & layout
43. Develop your operating manual contents
44. Develop your operating manual cover page design
45. Develop your policies s& procedures with relation to your business concept, your franchise obligations, the franchisee obligations, unit/area opening, opening & closing procedures, recruitment procedures, corporate identity, accounting system, point of sale, pricing structures, ordering procedures, receiving procedures, storing procedures, product display, sales & cash system, customer service, cleanliness, maintenance, security, the environment,  time management, financial dexterity and reporting system
46. Develop unit organizational chart
47. Develop job description format
48. Develop job description for all staff
49. Develop recruitment procedures
50. Develop candidate evaluation format
51. Identify required documents for appointment of staff
52. Develop welcome booklet
53. Develop candidate’s job application format
54. Develop site selection criteria
55. Develop site development progress plan
56. Develop F.F & E list & specification
57. Develop store design
58. Develop suppliers’ list
59. Develop product list
60. Develop product receiving checklist
61. Develop product display map
62. Develop maintenance procedures, schedules & formats
63. Develop cleaning schedule
64. Agree your accounting system with your accountant and plan your new chart of accounting & profit centers with the franchise scenario in mind
65. Develop accounting & cash handling formats
66. Develop communication & control systems
67. Develop franchisee evaluation program
68. Develop mystery shopper program
69. Develop monitoring & evaluation systems
70. Develop franchisee motivation program
71. Develop your training manual
72. Develop your training program

Marketing: (week six – week ten)

73. Develop your news book
74. Develop your credentials book
75. Develop your achievement book
76. Develop franchise expansion strategy & promotion
77. Plan your merchandising & memorabilia
78. Develop franchisee interview system
79. Develop your store launch program
80. Develop your local store marketing plan
81. Develop your annual national/regional/international marketing plan
82. Develop your franchise marketing plan
83. Develop your advertising tools
84. Develop your marketing manual

Packaging Your Ongoing Support to Franchisees: (week six – week ten)

85. Develop your branded product supply & logistical system
86. Plan your periodical visits to franchised units
87. Plan periodical meetings with the franchisees
88. Develop your news letter
89. Develop your research & development system
90. Develop internal auditing system
91. Develop your franchise internet application

Franchise Program Launch: (week sixteen – week twenty)

92. Develop franchisee selection criteria
93. Develop potential franchisees database
94. Develop franchise launch plan
95. Develop annual franchise marketing plan & budget
96. Begin franchise executives recruitment
97. Develop your franchise exhibitions material
98. Develop your presentation to financing and funding firms
99. Subscribe to your franchise associations memberships
100. Launch a press conference